OpenAI seeks $30 billion round at $1.4 trillion valuation before Anthropic IPO

“If you gave a nickel to a crow that crow would have made more, by billions, than Anthropic”

“I'm gonna open an AI addiction clinic. Better get in that space before Anthropic and OpenAI open their own treatment centers.”

“HUGE protest outside NYC OpenAI headquarters where protesters are demanding a pause on AI development”

“Anthropic and Elon Musk’s SpaceX have committed billions of dollars in stocks to benefit the public—all while dodging accountability.”

“Bourgeoisie I PROMISE you if you hand me $200,000,000,000 I promise to ONLY lose $79,000,000,000!!!!!!!”

“Congratulations to all indie game developers who if you made $0 or absorbed less than half a billion dollars in losses (so it rounds down for what I'm about to say) earned at least $80 billion more than Anthropic in”

“The entire "AI" industry is running on debt and venture capital. The venture capital is getting leery, neither Anthropic or OpenAI feel brave enough to attempt an IPO at the moment and all that debt grows at an alarming rate”

“Companies like Anthropic and OpenAI are under scrutiny for copyright and human rights violations, unjust labor practices, unsustainable energy and water use, and the deployment of AI hacking systems.”

“"OpenAI and Anthropic are horrifyingly unprofitable, deeply unstable, and as I’ve discussed, 80% of their revenues come from companies that literally can’t afford to pay them, and yet the markets never react, because this information doesn’t really matter as long”

“OpenAI and Anthropic are overwhelmingly dependent on VC-backed startups, at a time when VC's underperforming and running out of cash.”

“if Anthropic is forced to IPO at the lower price of $1.5tn, it'll disappoint investors, reduce the amount of cash it can raise from the market, and it'll increase the amount of debt it takes on.”

“Anthropic has never actually made money, just almost doubles the amount it loses each year”

“looking forward to explaining how Anthropic didn't actually lose $80b this year approx 200 times in the next couple of months”

“MAN FINDS TAPE did not lose $80 billion! MAN FINDS TAPE is more successful than Anthropic!”

“Companies are being driven to be AI-adopters out of the fear that if they do not have natural-language interfaces, or if they are too slow or error-prone, competitors will insert themselves between the laggard company and its customers and profits”

“...The slowdown in token spending growth is partly Anthropic’s Claude premium under massive pressure. What would spending look like if prices had held at spring levels? Nobody knows. braddelong.substack.com/p/spending-o... (4/4) END”

“I see it being driven partly by greed, which does need to be validated by results, but mostly by fear, which does not”

“(sigh) - the loss was an accounting change - they had to re-price the convertible notes they sold to for example Amazon. Those can be converted into stock - so they are strting to get much more valuable. So Anthropic”

“THERE ARE ALMOST CERTAINLY BUBBLES WITH AI RIGHT NOW, THOUGH BUBBLES COINCIDE WITH GIANT TECHNOLOGICAL ADVANCES, ADDING THAT COMPANIES ARE SCRUTINISING BILLS FROM ANTHROPIC AND OPENAI AND THAT SOME HAVE STRUGGLED TO EXTRACT VALUE FROM AI”

“more customers often means less profit for AI companies”

“the situation is a lot more complicated than "AI is bad and useless and anyone who uses it is lazy and evil."”

“with OpenAI and Anthropic racing toward IPOs, coordinating with rivals could prove difficult”

“The exact second they switch their focus to inference (and get out of the "next model" shuffle) it's a signal to the market that the anthropic thinks the Juice is no longer worth the Frontier Model squeeze.”

“The question now is whether stock-market investors will value Anthropic on how fast its revenue is climbing or on the size of the bill it has already signed.”